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Modelling data is concerned with representing real life situations.

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Introduction

Modelling is concerned with representing real life situations. Variables can be changed with a model to find out different outcomes. Modelling has a number of advantages: - * It is cheaper to set up a computer model than build the physical model. * The computer model can be changed modified quickly and easily to allow the user to view the effects of changing variables. * You can reset your test as often as you like. * Dangerous situations or conditions can be modelled safely. * Using a computer model speeds up the overall development process. Below are also some various disadvantages: - * A computer model may not completely reflect real life situations. * Answers and results are only as good as the model. * Humans are unpredictable in nature so the model may be considered unreliable. The spreadsheet package has been adopted for this modelling situation. This is a package which models and processes numerical data. It is made up of a grid into which numbers are entered. The program contains many mathematical, statistical and financial calculations, which can be applied to the numbers. ...read more.

Middle

I aim to solve the bakery's problem by constructing and designing a spreadsheet that shall assist the bakery in keeping track of price increases, unit sales, total sales, and the total revenue. The spreadsheet will allow the bakery to store data, such as items being sold, and the selling and buying price of products. It will also store daily and weekly sales and profits for each of the products and calculate the total revenue of the bakery. The spreadsheet will make it simplistic to update, change variables, and calculate profit and losses of the bakery efficiently. The results of the spreadsheet has made it simple for the Bakery to make decisions about which of their products are high in demand and yield the most profit for the bakery. From the results of the spreadsheet it can be seen that the bakery are buying their products for more than they are selling them. This loss can easily be spotted on the spreadsheet in contrast to bakery's previous manual method. ...read more.

Conclusion

These automatic changes are due to the cells complying with their formula. I tried a number of 'What if' scenarios on my spreadsheet. These were to increase the cost by 20, 40 and 60 per cent respectively. Before I carried out the 'What if" scenarios I decided to make some predictions about what I thought the outcomes would be after the increases. * Because of the increases i 20% INCREASE: As can be seen from a 20% increase of the cost, in the total sales section, the spreadsheet has automatically altered the other sections accordingly. The new total weekly revenue is now �743.47 in contrast to the total weekly revenue prior to the increase, which was �619.56. 40% INCREASE; From the 40% increase of the cost, in the sales section the new total weekly revenue is now �867.39, this is in contrast to the total weekly revenue prior to the increase, which was �619.56. 60% INCREASE: As can be seen from a 60% increase of the cost, the total weekly revenue is now �991.30; this is in contrast to the total weekly revenue prior to the increase, which was �619.56. ...read more.

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